From Yahoo Finance: 2025-05-10 11:02:00

The article discusses the 10 Worst Blue Chip Stocks to Buy, highlighting Tesla, Inc. (TSLA). Fidelity International’s Co-Chief Investment Officer predicts a shift in tariffs’ effects as deals are made, while BlackRock notes international equities outperforming US equities, with value stocks gaining favor over growth stocks in defensive sectors like healthcare.

BlackRock emphasizes the industry’s attractive characteristics fueling performance, with active management strategies beneficial in fluctuating markets. US large-cap value equities, particularly in defensive sectors, have positive returns YTD, with value equities benefiting from new trade policies in the current political environment.

Fiduciary Trust advises making portfolio changes based on tariff discussions and capex spending on AI remaining strong. AI is expected to enhance long-term productivity, while changes to bank capital ratio rules could lead to increased lending and stock buybacks, ultimately improving earnings.

Tesla, Inc. (TSLA) is under scrutiny as one of the worst blue chip stocks to buy, with 126 hedge fund holders and a YTD decline of approximately 21.5%. Analysts like Adam Jonas maintain a positive outlook, citing Tesla’s strategic positioning in manufacturing and leadership in AI-driven solutions.

Baron Funds’ Q1 2025 investor letter discusses Tesla’s challenges but remains confident in its long-term growth potential. Despite headwinds, Tesla’s AI ambitions and product line support its growth story. TSLA ranks 2nd on the list of worst blue chip stocks, with a focus on deeply undervalued AI stocks for higher returns within a shorter timeframe.

Read more: Is Tesla, Inc. (TSLA) the Worst Blue Chip Stock to Buy?